Question

Sales tax in Cities:

City A: 3%

City B: 4.1%

City C: 2.9%

City D: 3.2%


Question: Tom wants to buy a sweater for $30. In which city will it be less expensive?

Answer 1

In city C, it will be less expensive to buy a $30 sweater.

Explanation:

Since the purchase value is fixed, so the price of a $30 sweater after sales tax will be less in that city where the rate of sales tax is less.

From the given four cities with different sales tax, city C has a lesser sales tax i.e. 2.9%.

Therefore, in city C, it will be less expensive to buy a $30 sweater and the after-tax price of the sweater will be
`30 * (1 + (2.9)/(100)) = 30.87` dollars. (Answer)